Use of Online Banking and Financial Services in Mumbai

Abstract

This paper is based on a survey to identify the use of online banking and financial services in Mumbai. An effective sample of 200 adult respondents from Mumbai was taken and responses were tabulated. An Electronic Financial Services Preference Index (EFSPI) has been developed using weighted responses of respondents to questions regarding usage of online/electronic financial and banking services. The responses have been tested through regression analysis to observe the correlation between the age, gender, occupation and income level of the respondents and the EFSPI. Later a single regression is employed, which considers all the significant variables as regressors and the EFSPI as the dependent.

The study concludes that age group and monthly family income of the respondent are important factors which determine the usage of electronic banking and financial services. It also concludes that people working in the IT, ITES or finance sectors have a significantly higher usage of such services as compared to people employed in other occupations. It also finds that the gender and education of the respondents are not important factors in determining the usage of electronic banking and financial services.